LAND FOR SOLDIERS

Evening Post, Volume XCI, Issue 146, 21 June 1916, Page 3

LAND FOR SOLDIERS

PROGRESS OF THE BILL

DEBATE IN PARLIAMENT.

Just after 3 o'clock yesterday afternoon, the House of Representatives went into Committee ori the Discharged Soldiers' Settlement Amendment Bill, which had been reported on on Friday afternoon just before the Budget was brought- down.

. The Prime Minister said he had consulted his colleagues regarding Clause 7, providing that compensation for land acquired may be paid for in debentures bearing interest at the rate of 5 per cent. It had been agreed that it was not necessary, and he would move to strike it out.

Mr. Payne contended that the clause was a trick to play into the hands of those sharks who would fatten' on war profits. He contended that people who had surplus money . should at such a crisis be willing to lend it free of interest.

Sir Jo£eph Ward said that up to the present no more than' 4£ per cent, had been paid for" money required for putting people on the land, and in this cas4 no more tban that would be paid unless it was absolutely necessary. Five per cent, was merely fixed as a maximum, in-view of possibilities. Discussion continued on Mr. Payne's original amendment to strike out the provision that the 5 per cent, payable on debentures should be free of income tax.

The Rt. .Hon. W. F. Massey said the original proposal was merely a precautionary measure. His opinion was that they could have done without the debentures, but, in any case, they would not be issued for long terms —for five years at the longest. Dr. Newman contended that 'those who took up debentures in the two million loan last year were, under the present taxation proposals, especially considered by being freed from income tax. The best .plan would be to borrow the money straight out. The present proposal meant that the rich man gained all along the line, and the small .investor gained nothing.

Sir Joseph Ward said that the investors in last year's loan would have to pay 45 per cent, of war profits, and the extra 5 per cent. on. income tax. He knew of people who invested in that loan who had been subjected to the full measure of taxation, and who recognised that they would be hit very heavily under the taxation proposals of the Government. He went on to say that a large portion of the amount of £1,400,000 payable for death duties was earmarked for Defence purposes.

After ' some further discussion, Mr. Payne's amendment was negatived by 37 to 9.

Mr. Hindmarsh remarked that the reason of the high price of land was due to the high price of produce, brought about by war conditions, and therefore any sensible landholder would _be willing to sell his land. Probably, prices would go down in a year or two, and rent would have to go down.' How would the State stand then, having regard to the price it had paid for the land?

A few jninutes later the clause was struck out on the voices. :

By Governor's Message a new clause was brought.down enabling the Government to raise £100,000 (instead of £50,000 as provided by the Bill), for the purpose.of assisting returned soldiers to go on the land. It was agreed to without debate.,

In the course of subsequent discussion the Prime Minister said he had received complaints.that men acting.as .agents for soldiers at the front had succeeded at the ballot and were making money as settlers on their own account. As to the settlement by soldiers generally, his intention was to enable those men .who went on the land to commence supplying the dairy factory on Ist September next.

The Bill was then reported with amendments, consideration of which was deferred.